Another local scholarship question

entomom
Sun, 13 Jun 2010 21:39:49 +0000

Each school has their own policy for outside scholarships, so they are the final word. In most cases, outside money cannot be used to reduce the family’s EFC. Generally, outside scholarships affect need based FA, but usually loans and WS are impacted before grants. Again, schools vary, so give yours a call or email to find out their policy, they should be able to tell you specifically what they do, ‘might’ is not a good enough answer. If it was me, I’d try again and try to get someone else, when they give you the answer, have them send it to you in writing.

All institutional and outside scholarships and grants come under your Ds taxes. However, the only part that is taxable is the amount above the cost of tuition and fees (R&B, books, travel and misc. expenses don’t count). So for tax purposes, one usually wants to apply scholarships and grants towards tuition rather than other costs.